Scioto County commissioners discuss $3.69M Children’s Services shortfall, rising insurance costs
PORTSMOUTH — Scioto County commissioners discussed a projected $3.69 million shortfall facing Scioto County Children's Services, rising insurance costs and delayed federal reimbursements during their Thursday meeting.
The commissioners said letters requesting state assistance will be sent to state Rep. Justin Pizzulli, R-Scioto County, and Sen. Bernie Moreno, R-Ohio. The letters are intended to seek assistance through the Ohio Department of Children and Youth and the Ohio Controlling Board.
Pizzulli sent a letter Thursday to Gov. Mike DeWine requesting $3.69 million in emergency assistance for Scioto County Children's Services, citing the agency's projected shortfall through the remainder of 2026.
During the meeting, commissioners said the county has taken steps to reduce the financial burden associated with Children's Services, including reducing the number of children in its care, cutting administrative costs, consolidating operations and using one-time funding.
Commissioners said the county has relied on American Rescue Plan Act funds to help cover Children's Services expenses, but those funds are no longer available.
The county has reduced the number of children in its care from about 400 to approximately 200, commissioners said, but the cost of placements has continued to increase.
Commissioners compared Scioto County's situation to Vinton County, which recently received emergency state funding following a case involving 16 children.
They said Vinton County's emergency represented about 15% of its general fund, while Scioto County has faced a similar financial burden for four to five years.
Commissioners said emergency funding would provide temporary relief but would not solve the underlying issue.
"We have some tough times ahead and some things need to be fixed legislatively," a commissioner said.
Also at Thursday's meeting, commissioners also disclosed that the county expects its insurance costs to increase by more than $1 million.
The county's health insurance loss ratio was reported at 149%, meaning employee healthcare expenditures were 49% higher than the amount collected by the insurance company. Because the county participates in a consortium with about 66 other counties, commissioners said the county's insurance premiums are expected to increase by approximately 15% rather than 49%.
Commissioners said the combination of the Children's Services shortfall and increased insurance costs will put additional pressure on the county's general fund.
The Children's Services shortfall was described as approximately 15% of the county's general fund.
"The bills keep piling up, the math keeps getting worse," a commissioner said.
Commissioners also discussed delays in federal Title IV-E funding, which helps reimburse counties for certain foster care expenses.
Commissioner Merit Smith said he recently questioned a member of Congress about the delayed funding and was told the federal government sends the money to the state, which then distributes it after counties meet the required conditions.
Smith said the county previously had more than $400,000 in delayed funding.
He said the money would help but would not resolve the county's larger financial problem.
"We still got to pay the bills and hopefully we can pay the bills and that will come later to help a little bit with those bills, but it's not going to cover everything," Smith said.
Other business
Commissioners also addressed the upcoming Ohio Department of Transportation project involving State Route 73/104.
The project is expected to require a state-designated detour of approximately 17 miles.
Commissioner Scottie Powell said the project will be an inconvenience but argued the improvements are necessary because of repeated crashes in the area.
"I think if you've traveled that road and you've lived in that area, you know that curve is a dangerous curve," Powell said.
Commissioners encouraged residents with concerns or opinions about the project to participate in ODOT's public comment process. They said written comments are expected to be due around Sept. 22.
The board also approved payment of $522,868.06 in obligations from various county funds, including regular accounts, moral obligations and then-and-now certificates. Commissioners approved appropriation requests, fund transfers, miscellaneous reports, meeting requests and minutes from the sewer and water district.
A change order for the Otway State Route 73 drainage project was also approved. The change increases the contract by $67,425.54, from $540,597.83 to $608,023.37. The project is funded through a Community Development Block Grant.
Commissioners opened bids for two projects at the Scioto County Sheriff's Office.
Two bids were received for water storage tank replacement and installation. Mechanical Construction Company of Portsmouth submitted a bid of $245,750, while BV&E of Portsmouth submitted a bid of $235,000.
Both bids were forwarded to the Sheriff's Office for review and recommendation.
For a cell-door security locking system retrofit, Willow Products Company of Decatur, Alabama, submitted a bid of $261,308 before applicable taxes. Crowder Detention of Urbana submitted a bid of $279,097.
Those bids were also forwarded to the Sheriff's Office.
Commissioners responded to questions about the Hughes Recovery Center and the rent charged to the counseling center operating there.
Smith said the county determined the market value of the property would be substantially higher, estimating that a state per-square-foot calculation would result in rent of approximately $25,000 per month.
However, commissioners said they did not intend to charge the counseling center full market value.
The property previously was leased for $1 per year because of the county's need for treatment services at the time the original agreement was established.
Smith said the decision to increase the rent was primarily prompted by concerns from Green Township's fire and emergency services, which respond to calls at the property.
Because the counseling center is a tax-exempt organization, commissioners said the property does not generate property tax revenue to help support local emergency services.
Commissioners said the county sought a middle ground that would provide assistance to Green Township while allowing the counseling center to continue operating at the facility.
The board also responded to a question about enforcement of county dog laws.
Officials said the new dog warden has been in place for about two weeks and is undergoing training. Commissioners said citations are being issued for dogs without tags, although enforcement is not occurring at the level officials would like.
Residents experiencing problems with loose dogs were encouraged to contact the county dog shelter.
The meeting concluded with commissioners encouraging residents to attend River Days activities throughout the weekend, including the parade, pageant, concerts, fish fry, farmers market and vendor fair.
Commissioners also highlighted the fly-in at Earl Thomas Conley Park and racing at Portsmouth Raceway.